Thread
UTXO horror story
Not really horror but. Shitty.
We had been putting a small amount of bitcoin into a wallet every week.
DCA’ing just like most.
Last week we tried consolidating and it was going to cost $150 in fees (over 150k SATS)
Keep in mind the amount being transferred is not a huge amount.
Today we consolidated at 7 sats/vb and it still cost around $80.
I know this was the right play but fuck did it hurt.
Just some advice for people who might not be familiar with UTXO management (like me when the majority of these sats were sent)
An expensive lesson but at least we were able to move them at such a low transaction fee. Lots won’t have this luxury in the next few years / decades.
Prepare while you can!
Replies (17)
When I cleaned my miner for the first time I was in a rush and put one of the fans in backwards. Turned it on and almost overheated immediately. Thought I had broken something when cleaning it. Took me a day of just thinking and calming down to then dawn on me it must be the fan. Fixed it and now it’s working better than ever.
Quit my node after rebalancing became a nightmare.
I lost money big money.
Never again fam, till something better comes along.
around 1 mill sats am not sure why is in channels anymore. May sell them.
GODSPEED BRAH!
I only withdraw when I reach a minimum threshold of around 1 million sats.
Good number.
42
I could see 1M, 2.1M, and 4.2M being standard UTXO sizes.
Beginner Question: if you have 1000 $5 buys on an exchange and withdraw, is that 1 UTXO or 1,000?
You’ll end up with only 1 UTXO if you withdraw after the 1k buys. It’s not a good idea to send small amounts to cold storage.
That would be 1000 UTXOs
So you’d pay the current transaction fee x1000 if you ever wanted to consolidate them
I learned this lesson as well. I had 138 utxo’s because I was dca’ing and I hadn’t gotten around to learning about utxo management. Luckily for me it was a low cost at the time to consolidate. But it was a potential horror story in the making.
UTXO management is a Bitcoin feature that feels like a bug.
$boost
The problem is that miners just aren't following the full #Bitcoin protocol. #Satoshi said there should be some free transactions.
The Virtuous Full #Nodes and Bitcoin #Loyalist will have to enforce the rest of the protocol. Miners will have to be required to process a quota of free transactions with every block, for the privilege of mining Bitcoin..🧡😊🦍
That's bullshit. See my post below..💀🦍
